Report · 2019
The Rise of Digital Money
⚠ The summary and findings below are the editor's working notes, pending verification against the source.
Introduces a taxonomy of money and argues privately issued digital money (e-money / stablecoins) could rapidly displace bank deposits.
Research questionHow will new forms of digital money reshape the monetary landscape and bank intermediation?
MethodologyConceptual framework (the 'money tree' taxonomy)
Constructsmoney taxonomy; deposit substitution; digital dollarization
Key findings
- Proposes a taxonomy distinguishing e-money/stablecoins from bank deposits and central-bank money.
- Adoption of e-money could be rapid via network effects and erode bank deposit funding (disintermediation).
- Coins the risk of 'digital dollarization' in economies with weak currencies.
Limitations: Forward-looking and conceptual; predates large stablecoin markets and empirical evidence.
Topics: Monetary Policy & Banking · Payments & Settlement · Dollarization & Emerging Markets · Market Structure & Adoption
Cite this
Tobias Adrian, Tommaso Mancini-Griffoli (2019). The Rise of Digital Money IMF FinTech Note No. 19/01.
BibTeX
@techreport{adrian2019riseofdigitalmoney,
title = {The Rise of Digital Money},
author = {Tobias Adrian and Tommaso Mancini-Griffoli},
year = {2019},
institution = {International Monetary Fund},
howpublished = {IMF FinTech Note No. 19/01},
url = {https://www.imf.org/en/Publications/fintech-notes/Issues/2019/07/12/The-Rise-of-Digital-Money-47097},
note = {Indexed by Stablecoin Beat},
}Indexed by Stablecoin Beat — we link to and summarise sources; we do not host copyrighted full text, and summaries are our own. · All research · Methodology